Question

In which economics system all the means of production are owned and controlled by a central authority.

• A. Market Economies
• B. Command Economies
• C. Mixed Economies
• D. Traditional Economies

Answer 1

The correct option is B Command Economies

In a command economic system, a large part of the economic system is controlled by a centralized power. For example, in the USSR most decisions were made by the central government.

The government is often involved in everything from planning to redistributing resources. A command economy is capable of creating a healthy supply of its resources, and it rewards its people with affordable prices.